RailTel Share Price Surges 3% on ₹264 Crore Kavach Contract from East Central Railway

RailTel Corporation of India Ltd has received a new work order worth ₹2,64,06,97,427, including taxes. The order was placed by East Central Railway and officially acknowledged on July 14, 2025, as per the filing. The update was disclosed in accordance with SEBI regulations.

The contract involves the provision of Kavach, an indigenous Train Collision Avoidance System. It will be implemented on 607 Route Kilometres (RKm) of low-density railway track within the East Central Railway zone. The nature of the project is categorised under "Works."

Execution Timeline

The completion timeline for the project has been set for July 14, 2027, providing a two-year window from the date of the order. The execution will be carried out entirely within India, with no international elements involved.

This is a domestic order and does not qualify as a related-party transaction. There is no financial or structural interest between RailTel’s promoter entities and East Central Railway. The order is not considered to be conducted at arm’s length under related party clauses.

Additional Regulatory Details

The information has been provided in line with SEBI’s circular dated July 13, 2023, which requires enhanced disclosure standards for listed companies. RailTel has submitted all relevant information in the prescribed format as an annexure.

Read more: RailTel Bags ₹10.27 Crore Work Order from Indian Overseas Bank!

RailTel Corporation Share Price Performance

As of 9:21 AM on July 15, 2025,  RailTel Corporation of India share price was trading at ₹424.20, a 3.49% increase, with a 12.59% gain over the past 6 months and a 26.29% decline over the past year.

Conclusion

This order from East Central Railway adds to RailTel’s project portfolio and will remain in execution through mid-2027. The project centres around installing safety systems on specified routes, with no analyst commentary or further disclosures provided at this stage.

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